MeloWuzzHere8731 MeloWuzzHere8731
  • 03-01-2020
  • Business
contestada

When AS is greater than AD, savings will be greater than investment and economic activity will _________..

Respuesta :

BenitoMarin BenitoMarin
  • 04-01-2020

Answer:

The correct answer is: decrease.

Explanation:

If Aggregate Supply (AS) is higher than Aggregate Demand (AD), it implies somehow consumers are keeping their income with them. Economic activity will contract as a result but to promote consumption, for instance, banks lower their interest rates on loans with the confidence that consumers will have enough money to cover their debts.

Answer Link

Otras preguntas

Select the abbreviation that tells how the italicized noun clause is used.S-subject, DO-direct object, PN-predicate noun, OP-object of prepositionWhat I wanted
Why does temperature increase between changes of physical state?
1. How does increasing the amplitude affect the wave?
battles of lexington and concord ​
Kai went on a bike ride. Every time he stops to drink water, his bike ride takes 3 minutes longer. If he stops to drink water six times, how much longer does hi
What charge does nitrogen form when it satisfies the octet rule?
12. A new customer at the job where you work as a cashier (5 Points) tú usted ustedes
What is the value of 30-2(7+2)-1? A. 11 B. 14 C. 17 D. 19
−6(2x+8)= -6(2x+8) How would you solve an equation like this?
PLEASE ANSWER!!!!!!!!!!!!!! Using the given points, determine the slope. (8, 1) and (8, -4)